Sulliden Commences Drilling Activities and Provides Operations Update

TORONTO, ONTARIO -- (Marketwire - July 20, 2010) - Sulliden Gold Corporation Ltd. ("Sulliden" or the "Company") (TSX: SUE) (OTCQX: SDDDF) (PINK SHEETS: SDDDF) announces that exploration drilling has started on its wholly owned Shahuindo property in Peru. The Company is pleased to provide details of these activities and other important advancements in the development of the Shahuindo Gold Project.


Exploration Update

Sulliden is pleased to announce that drilling has re-commenced at Shahuindo with a target of at least 30,000 meters of exploration drilling planned for completion by the end of 2010. A drilling contract was awarded to Bradley-MDH S.A.C. Exploration activities have started with one drill rig, and an additional drill is expected to be operational within one week. Sulliden intends to ramp up exploration activities with a total of four drills turning by the end of August. The Company expects to have five drill rigs operating at Shahuindo by mid-October.

Sulliden has been actively conducting geophysical surveys (mag and IP/resistivity) on prospective new targets along the Main Mineralized Corridor and North Mineralized Corridor which will be used by the geology team to identify new mineral extensions and exploration targets.

The Company has initiated technical surveys and evaluations as part of the condemnation process to assure that no economic material exists beneath the proposed infrastructure locations. Geological mapping, prospecting and soil geochemistry, have been completed on the proposed heap leach areas and are underway on other infrastructure sites.


Engineering Update

Sulliden is pleased to announce that the Feasibility Study and all the necessary accompanying studies for the Shahuindo Gold Project are progressing well. A contract has recently been awarded to Ausenco Vector Peru, who will conduct the site geotechnical evaluation and hydrology studies to be included in the Feasibility Study currently underway by Kappes Cassiday & Associate (KCA) of Reno, Nevada.

Preliminary discussions have been initiated with mining equipment manufacturers for the fleet to be used in the mining operation, and with a major electric power supplier regarding the design for the electric power substation for the project.

Significant infrastructure upgrades have been made to the Shahuindo site. Access roads have been widened, surfaced with gravel and compacted to allow for all-weather access. The construction of a new operations camp is also underway. The camp will include engineering and geology offices, residential buildings, dining facilities and all other supporting infrastructure. Photographs of the construction progress can be viewed on the Company's website at www.sulliden.com.


New Addition to Management Team

Sulliden's senior management team in Peru has been strengthened with the appointment of Juan Montoya, who will be responsible for advancing all the social aspects of the Shahuindo Gold Project, including functions of community relations, social responsibility and land acquisitions. Mr. Montoya draws on over 30 years of international experience in all aspects of Human and Community Relations positions, including extensive experience in Peru.


ABOUT SULLIDEN

Sulliden is a Canadian-based mining company focused on the exploration and development of its wholly owned Shahuindo Gold Project, located in Peru. This area is one of the world's most prolific gold producing districts and is home to world-class gold mines including Barrick Gold's Lagunas Norte Mine, 30 km to the south, and the Yanacocha Mine operated by Newmont Mining Company, 80 km to the north; both million-ounce per year producing mines. A positive Preliminary Economic Assessment for the Shahuindo Gold Project was completed in December 2009 and Feasibility Study is currently underway. While the Company progresses towards its goal of reaching production by mid 2012, a significant focus is being placed on exploration drilling to expand the mineral resource, which remains open in all directions and at depth. Sulliden is led by a strong management team with the proven ability to develop, finance, operate and explore mining projects and is positioned to generate superior value for its shareholders.


On behalf of Sulliden Gold Corporation Ltd.

Peter Tagliamonte, President and CEO
Stan Bharti, Chairman



For further information on Sulliden please visit the company website at www.sulliden.com. If you would like to be added to Sulliden's news distribution list, please send your email address to contact@sulliden.com.




Caution regarding forward-looking information:

This press release contains "forward looking information" within the meaning of applicable Canadian securities legislation. Forward looking information includes without limitation, statements regarding the effect of the appointment on the future financial or operating performance of the Company, the size and quality of the company's mineral resources, progress in development of mineral properties, future capital and operating expenses, capital and mine production costs, future metal prices and treatment and refining charges, the financial results of the company the future financial or operating performance of the Company, the prospective mineralization of the properties and planned exploration programs., the issue of permits, future production and sales volumes, capital and mine production costs, demand and market outlook for metals, planned exploration programs, anticipated production schedule and terms and the availability and likelihood of future acquisitions. Generally, forward looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; acquisition risks; and other risks of the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.




For more information, please contact

Sulliden Gold Corporation Ltd.
Scott Moore, Vice President Corporate Development
(416) 861-5903
or
Sulliden Gold Corporation Ltd.
Caroline Arsenault, Investor Relations Manager
(416) 861-5805
www.sulliden.com